SCHOOL OF LAW

BACHELOR OF LAWS
END OF SEMESTER EXAMINATION
SLS 3231: FINANCIAL SERVICES LAW

DATE: Tuesday, 22nd March 2022 Time: 2 Hours

Instructions:
1. Answer QUESTION ONE from SECTION A (Compulsory).
2. Answer ONE QUESTION from SECTION B.
3. Answer ONE QUESTION from SECTION C.
4. Answer a total of THREE questions.
5. Candidates will be penalized for illegibility.

SECTION A (25 marks)

Question 1:

‘Kenya’s financial services sector is over-regulated.’ Anon

Evaluate this statement by identifying key aspects of the laws governing the financial services
sector and providing theoretical justifications for these.

SECTION B (20 marks)

Question 2:

Discuss the extent to which the Central Banks’ Prudential Guidelines on Consumer Protection
serve to protect the consumers of financial services.

Question 3:
The twin-peaks model of regulation is utilised in the UK after a shift from a single financial
regulator. Examine the strengths and weaknesses of the twin peaks model for Kenya’s financial
services sector.

SECTION C (15 marks)

Question 4:
Write a brief critique of the regulation of Kenya’s informal financial services sector.

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Question 5:

Explain the shortcomings of the private interest theory of regulation.

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